place of investment Czech Republic - South-Bohemian regio - Kardašova Řečice
installed capacity (kw/mw) 2 x 2.5 MWt
project cost (gross, in euro) Approx. EUR 650 000
project type Communal and private in cooperation
number of users of generated energy 1 200 people
type of energy resource replaced Hard coal
start of operation 1994 (first phase)
financial sources 80% State Environmental Fund
20% municipality of Kardašova Řečice and the private operator of the heat supply system
ownership structure NEVA - Nekut & Müller
investor Municipality of Kardašova Řečice
contractor Sigma Slatina Brno
Czech engineering company
THE PROJECT

The aim of the municipality of Kardašova Řečice was to replace an inefficient hard-coal boiler which supplies heat to residential buildings in the town. It is located on the area of a former pencil factory which went bankrupt after 1989 and was privatised in parts. Since then only fractions of the boiler were used with a low capacity and heavy pollution.

In 1994 the heaters were reconstructed and the first phase of constructing the distribution grid was started. The new combustion units burn wood residues from a carpentry plant, one of the left-over operations of the big factory. Further houses were connected to this heat supply source in 1999 and 2001.

The reconstruction and operation of the heating supply system has been done in a Public Private Partnership scheme. The private company owns the heater and rents the municipally owned dis tribution pipes for a symbolic price. In return the company provides heat to the citizens for a reduced price, which is now at a level of about half the usual price for heat in the region.

The two combustion units provide about 1 200 people in 180 flats and 120 family houses, five municipal buildings and a few private enterprises on the site of the former big factory with heat. A smaller hard-coal heater in one of the town's districts could also be shut down.

TECHNOLOGY

There are two 2.5 MW boilers VSD 2500A - produced in Sigma Slatina, Brno - installed in the fire-room. They burn mainly woodchips as a waste from the carpentry plant. The combustion plant annually produces approx. 6 000 MWh heat.


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ECONOMIC ASPECTS

Almost 80% of the total costs of the project (which were invested in three phases: 1994, 1999 and 2001) was provided by the State Environmental Fund. Half of the support was given as a subsidy, the other half as a low interest loan. The remaining 20% of the budget were shared by the municipality of Kardašova Řečice and the private operator of the heat supply system. The investment costs were paid back in 2004.

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SOCIAL EFFECTS

The project offered the inhabitants of Kardašova Řečice the possibility of comfortable and environmentally friendly heating. The Municipality assisted the owners of the houses with 80% of the costs for the connection to the distribution system. Thanks to a regular supply of comparatively cheap fuel, the price for heat in Kardašova Řečice amounts to around 50% of the usual level paid for heat in the region.

The plant cannot be visited by the general public but it is possible to organize expert excursions.

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ENVIROMENTAL EFFECTS

The 6 000 MWh heat produced annually would necessitate burning around 1 000 tons of hard coal every year. The replacement of coal boilers and the higher efficiency of the district heating system results in savings of more than 2 000 tons of carbon dioxide emissions.

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DIFFICULTIES, PROBLEMS

During the enlargement of the distribution system it was difficult to convince the residents to connect to it. They were afraid of higher heating costs. In the end, positive experiences overcame this problem and the fire-room uses its full capacity today.

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FOLLOW UP

Not mentioned.

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FURTHER INFORMATION

NEVA s. r. o.
Husova 537
37821 Kardašova Řečice

Mr. Duba - manager
Tel: +420 384 377111
Fax: +420 384 377187
E-mail: neva@neva.cz
Web: www.neva.cz

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Examples to Follow - Successful and Sustainable Energy Investments in the Central-Eastern and South-Eastern European Region - Energia Klub
2008